How can I open Visual Studio Code through PowerShell and close PowerShell right after starting Visual Studio Code?

To open your project by using PowerShell,

1. Go to your project directory after pressing Shift + right-click
2. Select "Open PowerShell window here"
3. Just type code . and press Enter.

Example:

function code {
    $code_path = "${Env:LOCALAPPDATA}\Programs\Microsoft VS Code\bin\code.cmd" -replace ' ', '` '
  "${code_path} $args" | Invoke-Expression
}

I created helper functions in my PowerShell $profile called idea and vscode:

    function idea {
        Start-Process -FilePath "D:\Program Files\JetBrains\IntelliJ IDEA 2021.2.1\bin\idea64.exe" -ArgumentList "."
        exit
    }

function vsc {
    Start-Process -FilePath "D:\Users\AppData\Local\Programs\Microsoft VS Code\Code.exe" -ArgumentList "."
    exit
}

In case you only have Visual Studio Code Insiders installed and not Visual Studio Code installed, then code won't be a recognized command in PowerShell.

If this is the case, then you can use this command:

code-insiders

If you would like to use Visual Studio Code instead of Visual Studio Code Insiders, but don't want to install the non-insiders version, then add this to your $PROFILE by opening the configuration file...

code-insiders $PROFILE

...and copy/paste this somewhere inside the file:

Set-Alias code code-insiders

Then relaunch your terminal.

There is a workaround by starting Visual Studio Code from a runspace instead.

$Powershell = [PowerShell]::Create()
$null = $Powershell.AddScript({code})
$Handle = $Powershell.BeginInvoke()
$Powershell.EndInvoke($Handle)

This works for me:

iex "code ."
$host.SetShouldExit(0)

Your problem is that calling exit will exit the script and not the PowerShell instance you called it from. You can define a function in a script file (or in your profile.ps1). Afterwards you source the script file via:

. .\StartCode.ps1

Content of StartCode.ps1:

function Start-CodeInViaStartProcess {
    Start-Process -FilePath "code" -ArgumentList "."
    exit
}

Since the content of StartCode.ps1 is now sourced to your PowerShell session exit will terminate the actuall PowerShell session. Therefore Start-CodeInViaStartProcess should terminate your PowerShell window.